Pipeline Dreams & Dividend Schemes

Alright, settle in, folks. You want growth? You want income? You want both without having to sell a kidney? Good. Because let’s face it, most investors are like pigeons – pecking at whatever shiny thing lands closest. They chase the hot stock, the meme, the… well, you get the picture. But real money? It’s made with dividend growth stocks. Over the last half-century, they’ve been outperforming the “no-dividend” and “no-growth” crowd. It’s not rocket science, it’s just… sensible. Like wearing sensible shoes. And avoiding pyramid schemes. You’ve been warned.

Now, we’re looking at three pipeline companies: Oneok (OKE +0.80%), Kinetik Holdings (KNTK +0.54%), and Williams (WMB +0.03%). They’re currently handing out dividends between 3% and 8%. The S&P 500? A measly 1.1%. That’s like comparing a king’s ransom to… well, a slightly used button. And they just raised their payouts. A trend, if you will. A beautiful, beautiful trend. It’s like watching a perfectly executed pratfall – you know it’s coming, and it’s still delightful.

More Than a Quarter-Century of Stability (and a Little Luck)

Oneok recently bumped its dividend up 4%. Pushed the yield to 5.5%. Twenty-five years of paying stable or increasing dividends! That’s longer than some marriages, I tell ya. They haven’t hit a home run every year, mind you. But they’ve grown it nearly 100% over the last decade. Double the rate of their closest competitors. It’s like being the only guy in the room who knows the punchline.

Their target? 3-4% dividend increases yearly. They’ve got two engines driving this thing. First, they’ve been on a shopping spree, acquiring companies left and right. Now they’re busy integrating them, squeezing out cost savings and synergies. It’s like a magician pulling rabbits out of hats… except the rabbits are dollars. Second, they’ve got organic expansion projects underway. Think of it as planting seeds… seeds of cash flow, naturally. They’ve got a strong financial profile, too. Plenty of flexibility to keep the good times rolling. They’re practically begging you to invest. Almost.

This High Yield is Heading Higher (and So Are Our Expectations)

Kinetik Holdings just declared a dividend 4% higher than last quarter. That boosted its yield to 8%. Eight percent! It’s their second year in a row of a 4% raise. They’re clearly feeling generous. Or maybe they just have a really good accountant. Either way, I’m not complaining.

They’ve been streamlining their operations, selling off minority stakes in some pipelines and reinvesting the proceeds into acquisitions and expansion projects. It’s a capital recycling strategy. Sounds fancy, doesn’t it? Basically, they’re shuffling money around until it makes more money. And they’re supplying gas to power generation facilities. More fuel to increase that dividend, you see. It’s all connected, folks. Like a Rube Goldberg machine… except with dividends instead of marbles.

Over 50 Years and Counting (Don’t Ask About the Tax Implications)

Williams recently hiked its dividend by 5%, pushing the yield up to 3.2%. They’ve been paying quarterly dividends since 1974. That’s… a long time. They haven’t increased it every year, but they’ve been growing it at a mid-single-digit annual rate recently. They’re in a strong position to keep the momentum going. They’ve got a backlog of organic expansion projects through 2030. Gas-fired power facilities, strategic partnerships with Woodside Energy… they’re not messing around. They’re practically building a gas empire. It’s like watching a perfectly choreographed dance… a dance of dividends!

Compelling Income and Growth Combos (Or, How to Get Rich Without Robbing a Bank)

Oneok, Kinetik, and Williams offer the best of both worlds. High-yielding dividends that should keep growing. That should give these pipeline companies the fuel to deliver high-octane total returns. Compelling long-term investment opportunities? Absolutely. Now, I’m not saying these are guaranteed winners. Nothing is. But they’re certainly worth a closer look. And remember, folks: invest responsibly. And don’t blame me if your parrot starts demanding dividends.

2026-01-31 14:12

More Than a Quarter-Century of Stability (and a Little Luck)

This High Yield is Heading Higher (and So Are Our Expectations)

Over 50 Years and Counting (Don’t Ask About the Tax Implications)

Compelling Income and Growth Combos (Or, How to Get Rich Without Robbing a Bank)

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